IDEAS home Printed from https://ideas.repec.org/a/eee/exehis/v48y2011i4p568-589.html

Commercialization as exogenous shocks: The effect of the soybean trade and migration in Manchurian villages, 1895–1934

Author

Listed:
  • Kung, James Kai-sing
  • Li, Nan

Abstract

The effects of commercialization and migration in traditional agrarian economies such as China's during the nineteenth and twentieth centuries have been a subject of ferocious debate. Using data from Manchuria on soybean cultivation and exports, we employ difference-in-differences and instrumental variable approaches to demonstrate a significantly positive relationship between growing soybeans for export and the returns to migration. Those who migrated to Manchuria in response to high market prices, and to villages more suitable for cultivating soy prospered most; they owned approximately two-thirds more of the arable land and one-third more of houses than those who failed to do so. Evidence suggests that the positive welfare effect of commercialization-cum-migration was confined not only to the rich, who seek to relieve the “land constraint” at home, but possibly also to the poor.

Suggested Citation

  • Kung, James Kai-sing & Li, Nan, 2011. "Commercialization as exogenous shocks: The effect of the soybean trade and migration in Manchurian villages, 1895–1934," Explorations in Economic History, Elsevier, vol. 48(4), pages 568-589.
    • Handle: RePEc:eee:exehis:v:48:y:2011:i:4:p:568-589
    DOI: 10.1016/j.eeh.2011.07.002
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0014498311000313
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.eeh.2011.07.002?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Gottschang, Thomas R, 1987. "Economic Change, Disasters, and Migration: The Historical Case of Manchuria," Economic Development and Cultural Change, University of Chicago Press, vol. 35(3), pages 461-490, April.
    2. Cohn, Raymond L., 1992. "The Occupations of English Immigrants to the United States, 1836–1853," The Journal of Economic History, Cambridge University Press, vol. 52(2), pages 377-387, June.
    3. Benjamin, Dwayne & Brandt, Loren, 1997. "Land, Factor Markets, and Inequality in Rural China: Historical Evidence," Explorations in Economic History, Elsevier, vol. 34(4), pages 460-494, October.
    4. James Kai-Sing Kung & Nansheng Bai & Yiu-Fai Lee, 2011. "Human capital, migration, and a ‘vent’ for surplus rural labour in 1930s China: the case of the Lower Yangzi," Economic History Review, Economic History Society, vol. 64, pages 117-141, February.
    5. Eckstein, Alexander & Chao, Kang & Chang, John, 1974. "The Economic Development of Manchuria: The Rise of a Frontier Economy," The Journal of Economic History, Cambridge University Press, vol. 34(1), pages 239-264, March.
    6. Daron Acemoglu & Simon Johnson & James Robinson, 2005. "The Rise of Europe: Atlantic Trade, Institutional Change, and Economic Growth," American Economic Review, American Economic Association, vol. 95(3), pages 546-579, June.
    7. Hatton, Timothy J. & Williamson, Jeffrey G., 1998. "The Age of Mass Migration: Causes and Economic Impact," OUP Catalogue, Oxford University Press, number 9780195116519.
    8. Card, David & Krueger, Alan B, 1994. "Minimum Wages and Employment: A Case Study of the Fast-Food Industry in New Jersey and Pennsylvania," American Economic Review, American Economic Association, vol. 84(4), pages 772-793, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Li, Dan & Li, Nan, 2017. "Moving to the right place at the right time: Economic effects on migrants of the Manchuria Plague of 1910–11," Explorations in Economic History, Elsevier, vol. 63(C), pages 91-106.
    2. He, Xiaobo, 2013. "Wages and Access to International Markets: Evidence from Urban China," MPRA Paper 44537, University Library of Munich, Germany.
    3. Shuo Chen & James Kung, 2016. "Of maize and men: the effect of a New World crop on population and economic growth in China," Journal of Economic Growth, Springer, vol. 21(1), pages 71-99, March.
    4. Tianyu Huang & Yiyue Quan & Nan Li & Lin Xiang, 2026. "Revisiting the functioning of rural markets: a long-term investigation based on micro-surveys in Northeast China," Cliometrica, Springer;Cliometric Society (Association Francaise de Cliométrie), vol. 20(1), pages 221-263, January.
    5. Kung, James Kai-sing & Wu, Xiaogang & Wu, Yuxiao, 2012. "Inequality of land tenure and revolutionary outcome: An economic analysis of China's land reform of 1946–1952," Explorations in Economic History, Elsevier, vol. 49(4), pages 482-497.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tianyu Huang & Yiyue Quan & Nan Li & Lin Xiang, 2026. "Revisiting the functioning of rural markets: a long-term investigation based on micro-surveys in Northeast China," Cliometrica, Springer;Cliometric Society (Association Francaise de Cliométrie), vol. 20(1), pages 221-263, January.
    2. Ran Abramitzky & Leah Boustan, 2017. "Immigration in American Economic History," Journal of Economic Literature, American Economic Association, vol. 55(4), pages 1311-1345, December.
    3. Li, Dan & Li, Nan, 2017. "Moving to the right place at the right time: Economic effects on migrants of the Manchuria Plague of 1910–11," Explorations in Economic History, Elsevier, vol. 63(C), pages 91-106.
    4. Myung Soo Cha, 2012. "Wage Convergence and Divergence in East Asia, 1900-39," Global COE Hi-Stat Discussion Paper Series gd12-253, Institute of Economic Research, Hitotsubashi University.
    5. Mounir Karadja & Erik Prawitz, 2019. "Exit, Voice, and Political Change: Evidence from Swedish Mass Migration to the United States," Journal of Political Economy, University of Chicago Press, vol. 127(4), pages 1864-1925.
    6. Tito Boeri & Jan van Ours, 2013. "The Economics of Imperfect Labor Markets: Second Edition," Economics Books, Princeton University Press, edition 1, number 10142, December.
    7. Paul Caruana-Galizia & Ye Ma, 2016. "Chinese Regions in the Great Divergence: Provincial Gross Domestic Product per Capita, 1873–1918," Australian Economic History Review, Economic History Society of Australia and New Zealand, vol. 56(1), pages 21-45, March.
    8. Benjamin, Dwayne & Brandt, Loren, 1997. "Land, Factor Markets, and Inequality in Rural China: Historical Evidence," Explorations in Economic History, Elsevier, vol. 34(4), pages 460-494, October.
    9. Williamson, Jeffrey G. & O'Rourke, Kevin, 2002. "From Malthus to Ohlin: Trade, Growth and Distribution Since 1500," CEPR Discussion Papers 3394, Centre for Economic Policy Research.
    10. Jeffrey G. Williamson & Luis Bertola, 2003. "Globalization in Latin America Before 1940," NBER Working Papers 9687, National Bureau of Economic Research, Inc.
    11. Blum, Matthias & Strebel, Matthias, 2016. "Max Weber and the First World War: Protestant and Catholic living standards in Germany, 1915–1919," Journal of Institutional Economics, Cambridge University Press, vol. 12(3), pages 699-719, September.
    12. Heineck, Guido & Süssmuth, Bernd, 2013. "A different look at Lenin’s legacy: Social capital and risk taking in the Two Germanies," Journal of Comparative Economics, Elsevier, vol. 41(3), pages 789-803.
    13. Brown, Alessio J.G. & Merkl, Christian & Snower, Dennis J., 2014. "The minimum wage from a two-sided perspective," Economics Letters, Elsevier, vol. 124(3), pages 389-391.
    14. Vimal Ranchhod & Arden Finn, 2016. "Estimating the Short Run Effects of South Africa's Employment Tax Incentive on Youth Employment Probabilities using A Difference-in-Differences Approach," South African Journal of Economics, Economic Society of South Africa, vol. 84(2), pages 199-216, June.
    15. Gijs Rommelse, 2010. "The role of mercantilism in Anglo‐Dutch political relations, 1650–74," Economic History Review, Economic History Society, vol. 63(3), pages 591-611, August.
    16. Dickens, Richard & Machin, Stephen & Manning, Alan, 1998. "Estimating the effect of minimum wages on employment from the distribution of wages: A critical view," Labour Economics, Elsevier, vol. 5(2), pages 109-134, June.
    17. Mauricio Drelichman & Joachim Voth, 2007. "Lending to the borrower from hell: Debt and default in the age of Philip II, 1556-1598," Economics Working Papers 1164, Department of Economics and Business, Universitat Pompeu Fabra, revised Nov 2009.
    18. Koichi Fukumura & Atsushi Yamagishi, 2020. "Minimum wage competition," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 27(6), pages 1557-1581, December.
    19. Do, Manh Hung & Nguyen, Trung Thanh & Grote, Ulrike, 2023. "Land consolidation, rice production, and agricultural transformation: Evidence from household panel data for Vietnam," Economic Analysis and Policy, Elsevier, vol. 77(C), pages 157-173.
    20. Pablo Fajnzylber, 2001. "Minimum Wage Effects Throughout the Wage Distribution: Evidence from Brazil's Formal and Informal Sectors," Anais do XXIX Encontro Nacional de Economia [Proceedings of the 29th Brazilian Economics Meeting] 098, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics].

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    JEL classification:

    • N35 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Asia including Middle East
    • N55 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - Asia including Middle East
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

    Lists

    This item is featured on the following reading lists, Wikipedia, or ReplicationWiki pages:
    1. Historical Economic Geography

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:exehis:v:48:y:2011:i:4:p:568-589. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/622830 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.